China’s BYD secures lithium mining for EV production, use solid-state batteries by 2027
This strategic location, close to the company’s planned electric vehicle factory in Bahia state, Brazil, offers BYD a significant advantage.
China-based BYD, the world’s largest electric vehicle (EV) maker, seems to be strengthening its position in the industry through two significant developments.
These developments include securing lithium mining rights in Brazil and achieving a breakthrough in solid-state battery technology.
As reported by Reuters, which discovered new documents, BYD has secured mineral rights to two plots of land in Brazil through its subsidiary Exploracao Mineral do Brasil.
The land totaling 852 hectares is located in Coronel Murta, a municipality in the Jequitinhonha Valley of Minas Gerais, known as Brazil’s “Lithium Valley.”
Will enable vertical integration
The location of these reserves makes this acquisition highly significant for BYD. The two plots of land are close to the company’s planned electric vehicle factory in Bahia state, Brazil.
For reference, Coronel Murta is around 512 miles away from BYD’s planned factory, which is expected to begin production soon.
Earlier, the company had asserted that the factory would be capable of manufacturing 150,000 electric vehicles annually.
This will enable BYD to access lithium reserves close to its production facility and establish a cost-effective supply chain for this critical battery component.
It is, however, not the first time that BYD has invested in lithium mining operations. The company has already undertaken such activities within China and participated in bids for Chilean lithium projects.
even before this news I realized that their sales in the Caribbean region is growing mostly due to their price point and concessions from banks.